August 1st, 1937

After deliberations, General Blanche, head of the Chilean Armed Forces, presented the full Chilean Army 1937 Expansion Plan to Chairman Grove today. The plan calls for expansion of the armed forces over a period of 3 years, reaching a size of 71,000 active troops and 150,000 reserve troops by 1940. In addition, it provides for considerable modernization and mechanization of the Chilean Army.

Parte Uno: Expansión de Soldadesca

The current size of the Chilean Army stands at 49,000 active troops, after the demobilization of the militia units following the Argentine conflict. However, it is clear from the recent skirmish in Patagonia and other aggressive actions that our revanchist, reactionary neighbors do not plan to leave us to our economic expansion unopposed. For that reason, General Blanche has called for an approximate doubling in size of the active duty troops.

Reorgnización

The current standard Chilean division consists of two Brigades each composed of two Battalions. In the future, a new organizational structure will be defined differentiating between:

División Nuevo Estandar (New Standard Division)

The New Standard Division will be expanded to three battalions of three regiments each. In addition, new heavy weapons and support elements will be incorporated into the new standard divisions to increase their effectiveness in modern combat. To that end, the I division (not deployed to Argentina) will be reorganized along the following lines:

I Division

• I Infantry Division
  • 5th Infantry Brigade
  • 7th Infantry Brigade
  • 23rd Infantry Brigade

Blanche expressed that, in addition to reorganizing the I Division, three new Divisions, the V, VI and VII will also be raised with the 'triangular' 3 Brigade 3 Regiment model.

División Especial / División Antiguo (Special Division / Old Division)

The current divisional organization of the II, III and IV Divisions will be maintained for the time being, with these divisions being re-designated (for the II and III divisions during their time occupying Argentina) as 'Special' Occupation Divisions. These divisions will be of a lower strength with less heavy weapons than the other Divisions, with heavy weapons units being re-assigned.

División Fortificada (Strengthened Division)

When the II Division returns from occupation duty, General Blanche noted that they would be the first (and, as part of the plan, the only) 'Strengthened' Division. The Strengthened Division model will expand the Triangular Division, as used for the I Division, to include organic tank units, additional heavy weapons and artillery. Further, the strengthened division will also experiment with Mechanized Infantry for the first time, with the 1st Infantry Brigade being reorganized into the 1st Motorized Infantry Brigade. It is possible that some of the three new divisions will also be Strengthened Divisions.

Brigadas Independentia Mezcladas (Independent Mixed Brigades)

Formalizing the occupation forces of Easter Island and Las Malvinas, the Independent Mixed Brigades are to be used for occupation and other special duties where a unit as large as a division is not necessary. These Independent Mixed Brigades include artillery, engineering and signalling units at lower, non-divisional levels. Independent Mixed Brigades have differing strength based on their location, but include the 14th Independent Mixed Brigade "Morsa" (occupying Las Malvinas) and 17th Independent Mixed Brigade (occupying Easter Island).

Reservistos y Milicias

In addition to the raising of new regular military units, a new Reservist and Militia program will be initiated across Chile to provide for additional expansion in the face of Imperialist aggression.

Reservistos

The Reservist program will provide for the regular training of volunteers and former soldiers to allow for quick mobilization in the event of war. Reservists will train for one weekend a month using surplus arms, including those captured in the Argentine War, as well as any arms that individual reservists can provide for themselves. Reservists will train in basic military functions, tactics and strategy, as well as practice incorporating into larger units and training alongside regular military units. Reservists will be organized to allow for the full mobilization of an expected 500,000 troops within two weeks.

Milicias

Following the "Model Argentina", Milicias de Defensa del Pueblo will also be raised in Chile. These militias will be army-advised but not directly run by the army, instead being run by local Organizaciones de Defensa de Colectiva (Collective Defense Organizations). These MDPs will allow for a very basic level of military training to be achieved by any able-bodied person throughout Chile. Training will, generally, only consist of the handling of a rifle and basic military maneuvers and orders. Those who express further interest will be inducted into the Reservist program, but the general effort is to give Chile the ability to raise more soldiers in the case of a particularly devastating war.

Parte Dos: Equipo Nuevo

The Chilean army's experience in the Argentine Conflict showed that modern arms are essential to success in a modern war. For that reason, a large re-equipping program has been initiated by General Blanche, taking advantage of our significant military and economic connections to our partners in East Asia and Europe. The following conclusions were made about re-equipping and re-arming the military.

Cláusala A: Brazos Pequeños (Small Arms)

• Fusiles (Rifles)

The standard rifle of the Chilean Military, the FAMAE Modelo 1932 (an adaptation of the Mauser Model 1912), will continue to be produced in state-owned FAMAE factories, continuing our successful production of that rifle after it was reverse-engineered in 1932. General Blanche has expressed interest in further developing a carbine-length variant of the M1932 for potential use by new cavalry and motorized infantry organizations. As with all of the Chilean military, the M1932 will continue to be chambered in 7x57mm ammunition, also produced by FAMAE.

After receiving news of the use of snipers in the United States and China, the Chilean military has expressed interest in developing a sniper force for itself. To that end, the Chilean military would like to request the Empire of Japan to send 100 examples of the new Type 97 sniper rifle as well as 5,000 scopes, and technical advising to allow the Chilean military to adapt the Modelo 1932 into a sniper rifle.

• Ametralladoras (Machine Guns)

Following our successful purchase of a license for the Hotchkiss Model 1934 (produced as the FAMAE Modelo 1934) light machine gun earlier this year, fed by a 30-round strip, this will become the standard light machine gun of the Chilean military. However, FAMAE has noted that several variants will be produced, in particular for use in vehicles. These include a variant with a 20-round box magazine, adapted from conversion kits provided by the Confederation of French Communes. This variant will probably be used in armored vehicles in the future.

Because the FAMAE M1934 will be the standard light machine gun, any Madsen machine guns remaining in the Chilean inventory will be gradually phased out and placed into the reservist program for training use.

The successful purchase of the Type 3 heavy machine gun license from Japan means a locally produced variant, the FAMAE Modelo 3, will add to our stock bought in the 1920s to become our standard heavy machine gun. Chilean engineers have successfully been able to harmonize the strips used by the M1934 and the Modelo 3, simplifying our logistic and supply situation.

The Chilean military would like to formally request a license to produce a local version of the Hotchkiss Model 1929 heavy machine gun as the FAMAE Model 1929, with 13.2x96mm ammunition, from the Confederation of French Communes. We believe that this weapon can provide a valuable counter to enemy fortifications, armored vehicles and aircraft in the future. This comes after our successful evaluation of several examples provided by the CoF, which proved satisfactory against practice targets provided.

As our aircraft industry has recently began to construct planes of its own, and we plan to build armored vehicles in the future, the Chilean military would like to formally request a license to produce a local version of the MAC mle 1931 and related MAC mle 1934 machine guns from the Confederation of French Communes. We plan to use these guns in our armored vehicles and aircraft, and believe that they are the most suitable for our future machine gun needs. FAMAE would like to produce these guns as the FAMAE Modelo 1931 and Modelo 1931 Aeronave.

Cláusala B: Armas de Apoyo (Support Weapons)

• Armas de Apoyo de Infantería (Infantry Support Weapons)

After our successful evaluation, the Chilean military would like to formally request a license to produce a local version of the Type 89 Grenade Discharger from the Empire of Japan. We believe that this weapon, which allows for quick and accurate supporting fire, will be extremely valuable in combat in the future, especially as experience from the Chaco War shows the importance of supporting explosive weapons. FAMAE would like to produce this weapon as the FAMAE Modelo 1929 Descargador de Granadas. In addition, the Chilean military would like to purchase 100,000 Type 91 Grenades and a license to produce a local version of these grenades from the Empire of Japan. In addition, the military requests the assistance of the Empire of Japan in developing a similar rifle grenade system to that used by the Japanese for the Type 91 grenade, which allows it to be either thrown by hand, used in the Type 89 Grenade Discharger or discharged from a rifle grenade launcher. This weapon will be produced by FAMAE as the Modelo 1931 Granada.

For support above the Type 89 Grenade Discharger, the Chilean military would like to purchase a license to produce a local version of the Brandt mle 27/31 mortar from the Confederation of French Communes. Though the need for this mortar is somewhat offset by our Grenade Dischargers, we believe that it still plays an important role in our offensive and defensive capabilities.

Finally, for the next higher level of firepower support, we would like to arrange the purchase of 2,500 Type 92 Battalion Guns from the Empire of Japan, as well as tooling to locally produce ammunition required for these guns. This gun will become our standard battalion-level support weapon for our infantry.

• Artillería (Artillery)

Our army has identified that the northern plains of Argentina are the most likely location for the next major battle involving our military. For that reason, we believe that artillery will be important for this upcoming battle in order to disrupt enemy attacks. To that end, it is important to modernize our artillery as well, which is relatively outdated and mostly composed of pieces acquired around the first Weltkrieg period.

For use as a light, mobile howitzer, the Chilean military would like to purchase 150 Type 91 10 cm howitzers from the Empire of Japan, as well as tooling to locally produce ammunition required for these guns. We request that 25 of these guns be provided with pneumatic tires for potential use by motorized artillery units.

For equipping our heavy artillery units and for use as a counter-battery piece, the Chilean military would like to purchase 50 Type 92 10 cm cannons from the Empire of Japan, as well as tooling to locally production ammunition required for these guns.

• Defensa de Tanque y Avíon (Tank and aircraft defense)

Our army noted the difficulty of combating armored vehicles in Argentina, especially around Cordoba. For that reason, and because of the growing power of aircraft, it is necessary to purchase dedicated anti-tank and anti-aircraft weapons.

For use against both tanks and aircraft, the Chilean military would like to purchase a license to produce a local version of the Hotchkiss 25mm Anti-Aircraft gun from the Confederation of French Communes. We believe this gun, with its ability to combat both aircraft and tanks, will be a valuable asset to our army and navy. We would like to request French technical assistance in the production of single, dual and triple mounts for this weapon.

For use in potential future armored vehicles, the Chilean military would like to purchase 150 examples of the QF 2-Pounder gun from the Union of Britain as well as tooling to produce ammunition for this gun. We believe this gun, as already used in British armored vehicles, could be useful in our own designs in the future, as well as use as a dedicated anti-tank weapon.

Cláusala C: Vehículos y Mecanización (Vehicles and Mechanization)

A modern military is a mechanized military, but our automotive industry is not yet in a state to fully mechanize our military. Therefore, as we build up our ability to mechanize ourselves, we seek outside help from friendly nations. This was already shown by our recent purchase of Ukrainian tractors, and extends to our militaries.

• Vehículos Blindados (Armored Cars)

Our military has expressed considerable interest in armored cars after the Argentine War, for two reasons: first, that they are relatively mechanically simple, and, therefore, could realistically be produced by Chilean industry, and second, that they couold be useful in helping to defend Argentine strongpoints against infantry attacks, as well as for any combat encountered in cities. However, we have recognized that the dirt roads common throughout Chile and Argentina are not the most suited for armored cars, and, for that reason, we have turned to draisine armored cars, or those that can travel along railways.

For that reason, we turn to the Empire of Japan and request to purchase 75 Type 93 armored cars. We request that 50 of these cars be configured to operate on meter gauge track, and the final 25 be configured to operate on standard gauge (4ft 8 1/2in) track. We request that these cars be delivered to us without armament, to allow us to install our own armament.

• Tanques (Tanks)

Our experience with tanks in Argentina shows the need for these vehicles in our military. Already, we have acquired several Renault FT tanks captured from Argentina, as well as 15 small Type 94 tankettes from Japan. From experimentation with these two types, we have identified the need for two types of tanks, both to also be ordered from Japan.

The Chilean military would like to purchase 90 Type 95 Ha-Go Light Tanks from the Empire of Japan. We believe these light tanks will be useful for combating infantry and for exploiting breakthroughs in enemy lines, and that they will give the Chilean military a significant edge against potential adversaries. We request that these tanks be provided only with their tank guns, however, so that locally-produced machine guns can be placed in them.

In addition, we would like to directly contract Osaka Army Arsenal in the Empire of Japan to produce 60 examples of their Type 97 Chi-Ni medium tank prototype. We believe that this vehicle, which is lightweight and low cost, would be well suited to use in the South American theatre, and, should the vehicle prove successful, we would like to propose the construction of an additional 90 units in the future. We, too, request that these tanks arrive with only the tank guns fitted.

• Camiones (Trucks)

As part of our experiment to produce mechanized infantry units, the Chilean Military has directed that ENAC provide 300 Camiones Nacionales (National Trucks) to the army. In addition, the military has reserved a portion of the recent Chilean truck order to Ukraine for possible use by mechanized infantry units.

In addition, the 30 halftracks purchased from France may also be used by these mechanized infantry units, though these units have experienced difficulties with the road dust in South America.

Cláusala D: Equipo Superávit

As part of our expansion plan, we will be surplussing some equipment captured in the last war that we have not found a buyer for. This equipment will mostly be going to our comrades in Argentina. General Blanche therefore announces the following equipment will be provided to Syndicalist forces in Argentina:

• 75 Ford Model AA trucks
• 25 Dewoitine D.21 fighter aircraft
• 10 Avro 504K "Gosport" trainer aircraft

In addition, until Argentine industry regains the ability to produce small arms ammunition, FAMAE will produce 7.65x53mm ammunition for the Argentine military.

Parte Tres: Tecnología

In addition to new equipment, our military must embrace new technology in the form of advanced communication gear and new engine technology in order to be effective using the above equipment.

Cláusala A: Radio y Teléfonos de Campo (Radio and Field Telephones)

In order to fully utilize our new armored forces, as well as to better coordinate infantry movements, the Chilean Military requests the help of all nations of the Third Internationale - including the Confederation of French Communes and the Union of Britain - to assist it in the implementation and acquisition of radio, as well as the improvement of field telephone usage. We have used field telephones for a few years since our domestic telephone industry began to develop, but we still require significant assistance in the rapid laying and maintenance of field telephones.

The military has almost no experience with wireless communications besides its use by the air force and navy, and even then their use is limited. Therefore, we announce a three million reichsmark grant to be given to whatever nation or private company can provide us with technical assistance and radio sets.

Cláusala B: Motores Diesel y Etanol

The Chilean military's research has shown that the use of diesel engines by the Japanese in their tanks is a significant advantage, and a large part of our reason for selecting that nation to build up our armored force. Therefore, as part of our deal to purchase tanks from the Japanese, we request a license to produce the Mitsubishi A6120VDe inline-six diesel engine, for use in our trucks and future armored vehicles. We also plan to convert this engine, like our recent purchases from Ukraine, to burning ethanol, to take advantage of that fuel's ability to be produced from non-essential materials.

Conclusión

The payment for these licenses and purchases will come partially from currency payments but mostly through redemptions of previously negotiated trade deals, especially for Chilean minerals such as copper and crops. We hope that the purchase of these licenses and equipment are amenable to all parties involved, and are open to negotiation on compensation.

As part of General Blanche and Chairman Grove's wishes for the Chilean military to become a modern force par excellence, the above measures will surely mean that Chile holds a superior place among the militaries of South America for years to come.

Chairman Grove further noted that similar plans for expansion of the Navy and Air Force are also in preparation.